Fannie Mae (FNMA)

[tcj]

The part that is so troubling is that you see Warner's absolute passion for wanting to wipe out shareholders. In the case of FnF, dems are going to be out to screw HF's anyway possible. They're more concerned that a rich guy gets screwed than they are about anything else. Mnuchin can and I believe will throw them a bone by wiping out common. Mnuchin can make the case for prfd given the class IMO.

A lot of people think Jan 2018 is so key because he can get rid of the sr prfd debt and make his own move. This is true, but if they run the capital down to zero or damn close, they can make a move to liquidate and transfer assets to new entity. It almost seems Corker/Mnuchin have some set plan they've discussed.

Watt may be acting on his own, which screws up the above plan. This is why Corker was so pissed last week. Maybe Mnuchin is walking the fence, but I am trusting him less and less.